Monday, January 18, 2010

Sellers Need to be Attentive to the Market

In a tougher selling environment, it doesn’t pay to be overly optimistic when setting a sales price. Someone with a home worth $450,000-500,000 should not let themselves be talked into setting a price of $600,000 on their property. This can only lead to disillusionment and a loss of money.

Not only will you be paying additional advertising costs as well as extra payments on your mortgage, but you will also usually find that you will have to lower your price further than the $450,000-$500,000 mark, because buyers will assume something is wrong with the listing. Plus, the market may have moved south since you first listed.

One thing for sure, it’s best to listen to your chosen agent and to trust their judgment regarding what the market is willing to pay. If you don’t trust your agent, then find someone else, but if you do, then follow his or her advice.

If your agent advises you that an offer is a good one, then take it. Remember, too, if two similar offers come in at the same time, then chances are that’s where the market is.

Fortunately, because the whole market is soft, you have the luxury of taking your time buying and can expect a similar discount when purchasing. So, in the end, you break even.

It’s also best to first sell your own home before purchasing another to avoid expensive bridge financing.

If you have a question about real estate, or would like assistance in locating a property, feel free to phone me, Noel Thompson Principal Professionals Logan Lifestyles at either Browns Plains 3800 4000, Marsden 3200 4495, Springwood 3808 5544 or Waterford 3299 7733.

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